"What a difference a year makes," said Jed Kolko, Trulia's chief economist. "In 2012, prices rose in 82 of the 100 largest metros, compared with just 12 metros seeing price increases in 2011. The 2012 price turnaround was strongest in the West and Southwest, where steady job growth and vanishing inventories lifted home prices by more than 10 percent in many markets."
Kolko also noted that all these improvements bode well for property values nationwide headed into 2013, the report said. He added that because prices particularly accelerated in the third and fourth quarters of the year after a slow start, it's reasonable to assume that rising prices will encourage more new constructions and entice more existing homeowners to put their properties on the market once again.
However, some experts have also said that there may be some amount of slowdown in acceleration over the coming year, simply because the improvement in the last six months or so has been so impressive that it likely cannot be repeated. Click through the gallery below to see the five best housing markets of the real estate recovery.
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